Gold demand likely to be hit by surge in prices: Experts

WEAKNESS IN THE DOLLAR AND THE GLOBAL TRADE WAR ARE CRUCIAL FACTORS THAT HAVE PUSHED GOLD PRICES TO A RECORD HIGH

- Press Trust of India

MUMBAI: High gold prices, which crossed ₹1 lakh per 10 grams in spot markets, are likely to hit demand in the short term but the market sentiment remains positive due to upcoming key events like Akshya Tritiya and ongoing marriage season buying, say experts.

Gold price of 24-karat variety (999 fineness) traded at ₹101,350 per 10 grams in the Mumbai bullion market while 22 karat gold was quoted at ₹92,900 per 10 grams on Tuesday.

"The sudden rise in gold price will definitely have an impact on demand, however, when the shock gets absorbed then the demand will stabilise. Overall there is a positive sentiment in the market and we expect good consumer demand following the upcoming Akshya Tritiya and the ongoing wedding season," All India Gem And Jewellery Domestic Council chairman Rajesh Rokde told PTI.